The local bond market rally continued today; with the curve easing off by 4-8bps across. Buying flows were focused on the belly of the curve wher

Good Evening,
Today’s trade recap by our trading desk:-
·        The local bond market rally continued today; with the curve easing off by 4-8bps across. Buying flows were focused on the belly of the curve where demand was high for certain off-benchmarks for yield pickup. Nevertheless, the back end of the curve was well bided as well but there were no offers to be seen. This bond rally is in tandem with global bond yields easing off on the back of investors positioning for an extension of monthly asset purchases by ECB past March next year.
Malaysia Government Bonds Benchmark Issues MGS Closing Level (%) Change (bp) Volume (RM m) 3-yr 3.620 -4.5 185 5-yr 3.665 -2.0 501 7-yr 3.920 -8.5 149 10-yr 4.120 -6.0 294 15-yr 4.465 -5.0 130 20-yr 4.620 -4.0 30 30-yr 4.895 0.0 7 Source: BondStream, AmBank	Interest Rate Swap Closing Rates IRS Closing Yield (%) Change (bp) 1-yr 3.515 -1.0 3-yr 3.642 -0.3 5-yr 3.750 -2.0 7-yr 3.885 -4.0 10-yr 4.070 -3.0 Source: Bloomberg, AmBank
Local News:
·         None.